Non-Profit Organizations in The Bahamas Lack Understanding of Terrorism Financing Vulnerability
Nassau, Bahamas - A recent assessment has revealed that non-profit organizations (NPOs) in The Bahamas lack a clear understanding of their vulnerability to terrorism financing (TF). Moreover, no guidance has been provided for the sector.
Financial Institutions and DNFBPs Unaware of TF Obligations
The report highlights that many financial institutions (FIs) and designated non-financial businesses and professions (DNFBPs) are unaware or have minimal knowledge of TF and its obligations. Furthermore, there is a lack of training and guidance on proliferation financing, which poses significant risks to the country’s financial system.
NPOs Not Equipped to Identify and Mitigate TF Risks
While FIs in The Bahamas have implemented robust anti-money laundering and combating the financing of terrorism (AML/CFT) policies and procedures, NPOs are not adequately equipped to identify and mitigate TF risks. This lack of understanding and preparedness leaves the sector vulnerable to exploitation by criminals and terrorists.
Areas for Improvement
- DNFBPs have good awareness of ML/TF risks posed by their clients but lack understanding of other areas of risk, such as:
- Country/geography
- Products/services
- Transactions
- Delivery channels
- Supervision and monitoring of AML/CFT obligations are also highlighted as areas for improvement. While the Central Bank of The Bahamas (CBB) has implemented effective licensing and registration requirements, there is a need for additional resources to effectively supervise the sector.
Recommendations
The report recommends that:
- NPOs receive training on TF risks and obligations
- Guidance be provided by competent authorities
- DNFBPs incorporate updated ML/TF risk information in their guidance and provide information on ways to mitigate those risks
Access the Full Report
The full report can be accessed at [insert link].
Contact Information
Contact: [insert contact person] Date: [insert date]